Introduction

With over 20 investment options available, the Savings and Stock Investment Plan (SSIP) for salaried employees and Tax Efficient Savings Plan For Hourly Employees (TESPHE) are among the best in the country. This large number of funds provides ample opportunity to build a well-diversified portfolio for your Ford 401k savings.

For your reference, we have provided a fund table displaying style, risk, and past performance for many of the funds in the SSIP and TESPHE plans. In addition, please visit our "Fund Commentary" section below for further information on specific funds and/or fund types within the SSIP and TESPHE accounts.

To the right you will find articles of interest as well as news and updates to Ford employee and retiree benefits. Check this page for future updates to the SSIP and TESPHE plans, as well as news that affects Ford employees and retirees.

Plan Updates

Ford Special Incentive Program – June 2017

Ford is offering a Special Incentive Program (SIP) to certain Ford salary employees. What makes the SIP a more generous offer by the company, based on historical packages, is the “Severance Benefit” for years of service. The “Reemployment Assistance” program is also worthwhile to those younger employees who choose to separate but are not yet ready for full retirement.

For those evaluating a buyout offer, there are important factors to consider:

Mainstay Capital Management is a fee-only, independent investment advisor that provides portfolio management and retirement planning services as well as counsels hundreds of Ford employees on buyout offers. We can provide a comprehensive Retirement Income Analysis, help evaluate "what-if" scenarios, and assist in making informed decisions concerning any buyout offer.

Reallocate ERROR in Ford TESPHE Accounts – February 2017 (updated)

*A resolution has been put in place to eliminate the reallocation error.

Ford plan participants attempting to place trades in the Ford TESPHE (Tax Efficient Savings Plan for Hourly Employees) account since December 30, 2016, may have received an ALERT which prohibits making a fund reallocation.

The ALERT is due to an error which is occurring as a result of a Fidelity fund change within the Plan at the end of the year.

Mainstay has brought this issue to the attention of the Ford Compensation and Benefits Office and is working with them towards a resolution.

Please do not hesitate to contact Mainstay toll-free at 1-866-444-6246 with questions regarding this ALERT or for assistance in reallocating your Ford 401(k) portfolio.

Ford Fund Changes – October 2016

Ford Motor Company has announced changes that will impact the Savings and Stock Investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE).

Effective as of the close of business on December 30, 2016, the name and fees of the Fidelity Growth Company fund will change. The new fund is not changing its investment objective, strategy, or holdings. However, this fund will no longer be a mutual fund, but rather a commingled pool.

To discuss the new investment option or how this change may impact your investment allocation, contact us toll-free at 1-866-444-6246.

Ford 401(k) Plan Changes – September 2016

Ford Motor Company is changing the names and/or fees in two of the Vanguard funds available in the Ford Retirement Plan (FRP), Savings and Stock Investment Plan (SSIP), and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE).

These Vanguard funds are not changing their investment objective, strategies, or holdings. However, the new funds are collective trusts, not mutual funds. All balances in and investment elections to the current funds will be transferred to the new funds as of the close of business on September 27, 2016.

To discuss the new investment options or how these changes may impact your investment allocation, contact us toll-free at 1-866-444-6246.

Ford STEP & SRI Separation Programs - 1st Quarter 2016

Under the 2015 National Negotiations, Ford Motor Company and the UAW are offering special separation and retirement buyout programs to UAW-represented employees. There are two programs offered, the Special Retirement Incentive (SRI) and the Special Termination of Employment Program (STEP). The decision to accept any separation program requires careful analysis and planning on the part of each employee.

For those evaluating the SRI or STEP, there are important factors to consider:

Am I financially ready to go?

Have I developed a comprehensive Retirement Income Plan?

How will the SRI or STEP impact my retirement plan?

Are my investments allocated appropriately for this life event?

What should I do with the assets in my TESPHE?

Mainstay Capital Management is a fee-only, independent investment advisor that can provide a comprehensive Retirement Income Analysis, help evaluate "what-if" scenarios, and assist in making informed decisions concerning any buyout offer.

Ford Retirement Plan Changes – August 2015

Ford Motor Company is removing one of the funds in the Savings and Stock Investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE). This fund will not be replaced with a new investment option.

This change is effective September 2, 2015. Transfers out of the closing fund must be complete by market close on September 2nd or balances will automatically transfer to an alternate fund in the plan.

To discuss the investment line-up change or how this change may impact your investment allocation, contact us toll-free at 1-866-444-6246.

Ford HSA Plan Changes – April 2015

Ford has announced changes to the investment menu within the Health Savings Account (HSA). Effective March 27, 2015, Harbor Capital Advisors, Inc. Bond Fund (HABDX), PIMCO Low Duration Fund (PLDDX), and Neuberger Berman Mid Cap Intrinsic Value (NBRVX) are closed to new investors. HSA participants currently investing in these funds may continue to do so.

In addition, on or about April 24, 2015 the Parnassus Small Cap Fund (PARSX) will be merged with the Parnassus Mid Cap Fund (PARMX). If you currently hold the Parnassus Small Cap Fund, your account will automatically reflect this non-taxable transaction to the Parnassus Mid Cap Fund. No action is required on your part.

For those currently holding Neuberger Berman Mid Cap Intrinsic Value, per our current recommended conservative or growth model portfolios, you may continue to do so. If you are new to Mainstay’s Ford HSA model portfolios, or are getting caught up, please use Oppenheimer Main Street Small & Mid Cap as an alternative fund.

If you have questions regarding how these changes may affect your HSA portfolio or your investment option selection within the Ford HSA, do not hesitate to contact Mainstay toll-free at 1 866 444 6246.

Ford Retirement Plan Changes – October 2014

In addition to an earlier change in October, Ford Motor Company will make additional adjustments to the Savings and Stock Investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE). The investment lineup for the plans will undergo a significant overhaul.

All changes are effective January 2, 2015. On December 31, 2014, all affected funds will be closed to new investments and current allocations will transfer to the replacement funds being added to the plans.

To discuss the investment line-up overall or how these changes may impact your investment allocation, contact us toll-free at 1-866-444-6246.

Ford Retirement Plan Changes – October 2014

Ford Motor Company will drop one of the bond funds currently available to participants in the Savings and Stock investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE).

Effective November 14, 2014, the fund will be closed to new investments and current allocations will transfer to an existing fund in the plan.

To discuss this recent fund removal, our insight into the change, or how it may impact your investment allocation, contact us toll-free at 1-866-444-6246.

Ford Retirement Plan Changes – February 2014

Ford Motor Company has announced changes that will impact a specific mutual fund investment option in the Savings and Stock Investment Plan (SSIP) for salaried employees and the Tax-Efficient Savings Plan for Hourly Employees (TESPHE).

Effective May 1, 2014, the ING Clarion Global Real Estate Securities Fund will change its name to Voya Clarion Global Real Estate Securities Fund. This will be a name change only - the fund manager, investment objective, and fees will remain the same.

In addition, Ford Retirement Plan (FRP) participants upon termination of employment will have the option to take partial withdrawals or commence installment payments from the FRP. These options are in addition to the current lump sum withdrawal option. This new option will be effective April 1, 2014.

Ford SSIP and TESPHE Roth Feature – June 2013

Ford Motor Company is providing an additional savings option to SSIP and TESPHE 401(k) plan participants. This option will provide all eligible salaried and hourly employees the ability to contribute to a Roth savings feature within their 401(k) plan.

The Roth feature within a 401(k) plan allows employees the flexibility to “tax diversify” their income sources for retirement by directing savings among designated Roth, traditional pre-tax, and/or after-tax contributions. Additionally, for those Ford employees who are ineligible for a Roth IRA, the Roth feature provides an opportunity to build a tax-free retirement income source.

For questions on this new Roth feature within the Ford 401(k) plan, feel free to call Mainstay Capital Management toll-free at 1‑866‑444‑6246.

Ford Increases Company Match in the SSIP – April 2013

Ford Motor Company announced an increase in the company match for the Savings and Stock Investment Plan (SSIP) effective July 1, 2013. The current match of $0.80 per dollar will increase to $0.90 per dollar of employee contributions, up to 5% of the employee’s eligible base salary. Mainstay Capital Management recommends that all Ford salaried employees contribute at least 5% in order to take full advantage of the company match.

Ford Fund Change Announcement – April 2013

>Ford has announced upcoming changes to several of the investment options in the Savings and Stock Investment Plan (SSIP), Tax-Efficient Savings Plan for Hourly Employees (TESPHE), Ford Retirement Plan (FRP), Benefit Equalization Plan (BEP), and the Deferred Compensation Plan (DCP). Some of the new investment options will provide similar investment strategies and risks, but the overall expenses for the investment options will be lower. Other changes include the addition, removal, and replacement of various fund options. These changes will take place from May 31, 2013 through December 31, 2013. Contact Mainstay toll-free at 1‑866‑444‑6246 to discuss the impact these changes may have on your portfolio.

Ford AICP & Profit Sharing Payout – February 2013

The election period to select a payment option for both the Ford salaried employees’ AICP (Annual Incentive Compensation Plan) Bonus payout and the Ford hourly employees’ Profit Sharing payout is February 11th through February 19th.

All eligible participants were provided the option to receive the payment as cash, contribute all or a portion of the payment to the SSIP or TESPHE (deferring all federal income tax withholding), or contribute all or a portion of the payment to a Ford Interest Advantage account.

If no election is made for the AICP or Profit Sharing payout, you will receive your entire payment in cash, incurring a mandatory 25% Federal income tax withholding.

Any amount of the AICP payout or Profit Sharing payout that is elected for deferral to the SSIP or TESPHE will be combined with your pre-tax contributions that are contributed to the plan throughout the year, including those contributions you have already made this year. Keep in mind, the IRS limit for pre-tax contributions can not exceed $17,500 for 2013 (or $23,000 if age 50 or older). There is a total contribution limit, which includes your contributions and company match (where applicable), of $51,000 (or $56,500 if age 50 or older) for 2013.

For salaried employees, Ford will continue to match $.80 on the dollar up to 5% of base salary as long as you maintain your payroll contributions throughout the year. The company match will continue on a pre-tax basis without affecting the pre-tax threshold.

Do not hesitate to contact us toll-free at 1‑866‑444‑6246 if you would like to discuss your AICP or Profit Sharing election options.

Ford Fund Change Announcement – December 2012

Ford has announced upcoming changes to the investment options in the Savings and Stock Investment Plan (SSIP), Tax-Efficient Savings Plan for Hourly Employees (TESPHE), Ford Retirement Plan (FRP), Benefit Equalization Plan (BEP), and the Deferred Compensation Plan (DCP). The new investment options will provide similar investment strategies and risks, but the overall expenses for the investment options will be lower. These changes will be effective as of the close of business on January 31, 2013. Contact Mainstay toll-free at 1‑866‑444‑6246 to discuss the impact these changes may have on your portfolio.

Ford to Offer a Roth 401(k) in 2013 – October 2012

Ford Motor Company will introduce a Roth option to the 401(k) plan next year. With the addition of this feature, employees will have the flexibility to direct contributions among both types of 401(k) accounts as their current and future tax situation dictates. It will also provide employees with the ability to “tax diversify” their income sources for retirement. Additionally, for those Ford employees who are ineligible for a Roth IRA due to income limitations, a Roth 401(k) provides an opportunity to build a tax-free retirement income source.

For more information on the Roth 401(k) account, you can review our list of “Roth 401(k) - Frequently Asked Questions” or request a FREE copy of Mainstay Capital Management’s “Roth 401(k) Investment Guide”. If you have questions on how this new Roth 401(k) option may be best utilized in your personal situation, feel free to contact us toll-free at 1‑866‑444‑6246.

Ford Pension Lump Sum Package Rollout – July 2012

Salaried Ford retirees, former employees, and surviving spouses have begun receiving their GRP Lump Sum Pension Option Decision Guide and Election Kit. The Decision Guide offers some suggested steps to help you navigate through the decision process. The Election Kit provides you with specific information, including dollar amounts for your monthly benefit options and your lump sum distribution offer. The rollout of the lump sum offers will continue into 2013.

The first group of eligible participants have received their Decision Guide and Election Kit. This group has an election period of August 1st through October 29th. Each new group will have a 90 day election period in which to make their decision. If you are considering the pension lump sum offer, review Mainstay’s “Pension Lump Sum Buyout Program” summary. You can also contact us toll-free at 1‑866‑444‑6246 to discuss your pension payment options and how each may impact your individual situation.

Ford Offers Pension Lump Sum Payments – April 2012

Ford Motor Company has announced it will offer about 90,000 eligible U.S. salaried retirees and former employees the option to receive a voluntary lump sum pension benefit payment. Ford previously announced that current employees will have the lump sum pension payment option available to them at retirement effective July 1, 2012.

By taking advantage of the lump sum pension payment option, Ford retirees may reduce many potential pension risks including longevity risk due to inflation, tax risk, and mortality risk. Most importantly it will completely eliminate "PBGC risk" - the risk that monthly pension payments are someday reduced by the Pension Benefit Guaranty Corporation.

Ford STEP & SRI Separation Programs - 1st Quarter 2012

Ford is offering special separation/retirement programs to eligible UAW-represented Ford hourly employees company-wide. There are two programs under which an employee may be eligible. The decision to accept a separation program requires careful analysis and planning on the part of each employee.

For those evaluating a buyout offer, there are important factors to consider:

Am I financially ready to go?

Have I developed a comprehensive Retirement Income Plan?

How will the STEP or SRI impact my retirement plan?

Are my investments allocated appropriately for this life event?

What should I do with the assets in my 401(k)?

Which distribution method for pension benefits is best suited for my personal situation?

Mainstay Capital Management is a fee-only, independent investment advisor that currently provides portfolio management and retirement planning services as well as counsels hundreds of Ford employees on buyout offers. We can provide a comprehensive Retirement Income Analysis, help evaluate "what-if" scenarios, and assist in making informed decisions concerning any buyout offer.

Ford increases company match in the SSIP – January 2012

Ford Motor Company announced an increase in the company match for the Savings and Stock Investment Plan (SSIP) effective July 1, 2012. The current match of $.60 per dollar of employee contribution up to 5% of the employee’s eligible base salary will increase to $.80 per dollar of employee contribution up to 5% of the employee’s eligible base salary. Mainstay Capital Management recommends that all Ford salaried employees contribute at least 5% in order to take full advantage of the company match.

Ford Fund Change Announcement – June 2011

Ford has announced upcoming changes to the investment options in the Savings and Stock Investment Plan (SSIP). The new investment options will provide similar investment strategies and risks, but the overall expenses for the investment options will be lower. These changes will be effective as of the close of business on July 1, 2011. Mainstay Capital Management’s CEO, David Kudla, has spoken and is published on the subject of reducing fees (internal expense ratios) for investment options within 401(k) plans. For further insight read his article penned for Forbes, "Why Investment Choices In Your 401(k) Might Change", or contact Mainstay toll-free at 1‑866‑444‑6246 to discuss the impact these changes may have on your portfolio.

Ford SSIP & TESPHE Fund Change Announcement – March 2010

Ford has announced upcoming investment option changes for the SSIP and TESPHE 401(k) plans that will take effect this spring. More than a third of the existing investment options will be eliminated and new options will be added to the plan. Account balances and new monies invested (contributions/loan repayments) in the options being removed from the plans will be transferred either to other existing investment options or to the new investment options. It is important to analyze this new investment menu, prior to the transferring of assets out of current investment options, to determine appropriate changes for your SSIP or TESPHE account.

Affiliated Computer Services Replaced Fidelity – January 2010

Effective January 5, 2010, Affiliated Computer Services (ACS) has taken over administration of the Ford SSIP, FRP, DCP and BEP for salaried employees, as well as the TESPHE for hourly employees, from Fidelity Investments. The investment options that are currently available in these plans are not expected to change initially, but may change over time as part of the regular monitoring process. There is a new website for SSIP and TESPHE participants to view and make changes to their plan effective January 5, 2010. For more details, read the article on the right “New Ford 401(k) Plan Administrator”.

Fund Commentary

BlackRock LifePath Index Funds

The BlackRock LifePath Index Fund family is designed for those participants who wish to base their asset allocation decision on a specific target year. The account is typically aligned with the LifePath fund that most closely matches the year you anticipate that you might begin to withdraw your savings for your retirement.

Ten of these funds are included in the Ford plan, with 5-year incremental targets from 2015 to 2055, along with a fund targeted as a Retirement Fund. The way the LifePath funds are designed, the further away the target date, the more aggressive the asset allocation, conversely, the closer the date, the greater the emphasis on preservation of capital in the asset allocation.

LifePath funds hold some appeal in that they are simple to explain and administer. While this approach is unique, we believe the asset allocation decisions provided by these funds are crude at best. LifePath funds attempt to make decisions about asset allocation based solely on a target date. An investor’s tolerance for risk and financial goals are other key factors that should largely play a role in determining the investment strategy and asset allocation. Additionally, they leave no room for the fund manager to tactically adjust the allocation strategy based on specific opportunities within the financial markets or in response to prevailing market conditions.

The returns realized in these commingled vehicles are diluted by a rigid adherence to mechanical allocation parameters. These parameters may prove to be shortsighted and inappropriate for everyone participating in the pool. The real world changes every day, yet proponents of LifePath funds, or similar funds, expect someone to stick to a single game plan for as much as 40 years, whether interest rates are rising or falling, or whether the economy is in expansion or recession. While LifePath funds offer a simple one-stop-solution, we continue to advise participants to avoid these funds and retain the flexibility to proactively adjust their portfolios as needed.

Company Stock

As a general rule of diversification, no single stock should represent more than 10% of your total investment portfolio. We believe this is a good guideline for ownership of company's stock in your 401(k). Most individual stocks are much more volatile than mutual funds. To the extent you invest more in your company's stock, your overall portfolio will exhibit more volatility (risk), and retirement investing is not about hitting home runs, but about consistently hitting singles and doubles.

That being said, many corporations often match a portion of employee retirement plan contributions with company stock, offer employees attractive incentives to purchase company stock either within or outside of retirement accounts, or include stock or stock options as part of employee compensation. We recommend that employees take full advantage of these opportunities, but remember to keep their total company stock holdings within reasonable levels.

Fund Table - September 30, 2016

The Ford SSIP and TESPHE fund table provides critical data on investment options within the plan.

If you have any questions concerning our website or your Ford 401(k) account, please feel free to contact us using the following e-mail link: This email address is being protected from spambots. You need JavaScript enabled to view it.or call us toll-free 1-866-444-6246.

David Kudla, CEOMainstay Capital ManagementRings the Opening Bell at theNYSE on July 3, 2017

David Kudla, CEOMainstay Capital ManagementRings the Closing Bell at theNasdaq on March 29, 2017

Mainstay Capital Management, LLChas been ranked by Barron's as one of the "Top 100 Independent Financial Advisors" in the country for the past nine years.Ranking Disclosure

Important Consumer Disclosure

Mainstay Capital Management, LLC is an investment advisor registered with the Securities and Exchange Commission. Due to various state regulations and filing requirements, Mainstay and its representatives may only provide investment advisory services in those states in which it is first appropriately registered or otherwise exempt or excluded from registration requirements. The purpose of this website is to provide the public with general information about the services offered by our investment management firm. Mainstay does not render personalized investment advice or services or effect, or attempt to effect any securities transactions, on this website. Our firm continuously monitors its filing requirements in all states, and will provide individualized advisory services only in accordance with various state regulations. Mainstay does not make any representations or warranties as to the accuracy, completeness, or relevance of any information prepared by any unaffiliated third party provider, whether linked to Mainstay's website or incorporated herein. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.